Buying a home from a relative or inheriting a property can be a complex process, but working with a local mortgage lender like Indigo Mortgage can make all the difference. Unlike national or out-of-state lenders, a local lender understands the unique challenges that come with these transactions and will take the necessary time to guide you through every step.

Equity as a Down Payment

One of the most important things homebuyers should know when purchasing a home from a family member is that the seller (a relative) can gift the buyer equity as a down payment. This means that, rather than needing a large sum of cash upfront, the buyer can use the equity in the home to cover the down payment. In many cases, this strategy can also help cover closing costs, significantly reducing the financial burden of purchasing the home.

Many national lenders either do not take the time to explain this option or may not be familiar with the intricacies of handling such transactions. A local lender like Indigo Mortgage not only understands this process but ensures that the transaction is structured in a way that benefits all parties involved.

Inherited Property and Buying Out Co-Owners

Inheriting a home can also present unique challenges, especially if multiple family members inherit the property but only one wants to keep it. In these cases, the person who wants to retain ownership may need to buy out the others’ share of the equity.

This type of transaction requires careful planning, and a local mortgage expert can help navigate the financing options available. Whether it’s through a cash-out refinance or a specialized loan, Indigo Mortgage can provide a solution that ensures a smooth transition while keeping family relationships intact.

Why a Local Lender Matters

A national or out-of-state lender will often treat these transactions as just another loan application. They may not be willing to take the extra time needed to help structure the deal properly or explain beneficial options like equity gifting or buyouts. This lack of personalized attention from national or online lenders can lead to unnecessary delays, added costs, or even the loss of a property due to financing complications.

At Indigo Mortgage, we take pride in being a trusted resource for families across New Mexico. We understand the nuances of local real estate and lending laws, and we have helped many families successfully finance inherited and family-owned properties. We take the time to meet with all parties involved, assess the best course of action, and develop a financing plan tailored to your specific situation.

Work with an Experienced Local Mortgage Lender

If you’re buying a home from a family member or need guidance on how to handle an inherited property, trust Indigo Mortgage to provide expert advice and solutions that work for you. With years of experience helping New Mexico families navigate these unique mortgage situations, we are committed to ensuring a seamless and stress-free process.

Contact us today to discuss your options and find the best mortgage solution for your family property transaction!